Groupon Shares Dive 25% on Earnings Miss

2/27/2013 8:50PM

Groupon Inc.'s stock fell more than 25% after the daily-deals company reported a wide quarterly loss in what was a worse-than-expected performance. WSJ's Evelyn Rusli discusses Groupon's challenges and the pressure CEO Andrew Mason is facing. (Photo: Getty Images)

This transcript has been automatically generated and may not be 100% accurate.

I ... investors are not buying Groupon's DL alone novel inversely with Washington on sentences go ... shares of Groupon plunged more than twenty five percent in after hours trading ... after the daily deal site said its loss widened in the fourth quarter ... to eighty one million in revenues were up though about thirty percent ... I just got off the earnings call in the company noted that the Alinta was up to one point five ... billion ... not amount the company Claxton what he's it's March ... at the same time analysts and investors are worried about a soft outlook for the first quarter ... in March ... for group on the margins were under pressure for two reasons ... the company's Goods business the products it sells directly to consumers like jewelry and electronics ... became a larger share of its business and at a lower margin business ... on top of that Groupon's executives said that they hop on for merchants ... special promotions to get its high frequency of ... and while more businesses signed up ... it also took away from the mountain but typically class twenty oh ... one analyst I spoke with said the extent that his emotions can be a troubling sign Groupon's ... says it could mean that it is losing its leverage with retailers ... now the results could weigh heavily on CEO Andrew Mason ... the thirty year-old chief executive has been under pressure ... since Japan has gone public and many believe ... he may be losing his job this year ... its financials ...